As we previously speculated, Crimson Dragon is indeed the final name for developer Grounding’s Project Draco, a Panzer Dragoon-like game for the Kinect. Crimson Dragon is being developed by certain members of what used to be called Team Andromeda, Sega’s Panzer Dragoon development team, in collaboration with another company named Land Ho. They’ve collaborated on Panzer Dragoon in the past as well.

Panzer Dragoon creator, Yukio Futatsugi, recently showed the game off at an Xbox 360 conference in Akihabara. 4Gamer have photos from the event, including new screenshots of the game.

Crimson Dragon will let you use over 100 skills to customize your dragon. You’ll have one skill mapped to your right and left hand each, and a third that requires the use of both hands. The game will also support multiplayer over Xbox Live.